Uncategorized

March, Friday 30, 2012

DOW + 66 = 13,212 SPX + 5 = 1408NAS – 3 = 309110 YR YLD +.06 = 2.22%OIL +.15 = 102.93GOLD + 7.30 = 1669.70SILV +.02 = 32.38PLAT + 11.00 = 1645.00 The S&P 500 gained 11.6 percent in the first quarter, its best start of the year since 1998 and the best overall quarter since the third quarter of 2009. The Nasdaq Composite gained 18.7%. The Dow Industrial average gained nearly 1,000 points, up 8.1% – the best first quarter point gain for the Dow – ever. Apple’s share price increased 48%. Bank of America’s share price increased 70%, if you had the stomach for it. Elsewhere Germany’s Dax gained 17%; the Nikkei was up more than 19%; crude oil futures were up 4.2% and gold gained 6.7%. Pretty good, really. If there’s no real bad news and the Fed is pushing money into the economy, markets tend to go higher. For now, the economic news is pretty good. Consumer sentiment rebounded to its highest level in more than a year in March as optimism about jobs and income overcame higher prices at the gasoline pump. Meanwhile, personal spending jumped 0.8% in February as personal income edged up 0.2%; that might qualify as semi-good economic news. An increase in spending, 4 times greater than income growth, doesn’t pencil out on an individual level but it is a positive for the broader economy, consumer spending accounts for about 70% of economic activity; higher spending tends to result in more …

READ MORE →
Uncategorized

March, Thursday 29, 2012

DOW + 19 = 13,145 SPX – 2 = 1403NAS – 9 = 309510 YR YLD -.04 = 2.16% OIL +.52 =103.30GOLD – .70 = 1662.40SILV + .22 = 32.36PLAT – 11.00 = 1631.00 Let’s talk about your retirement. The numbers that are selected with the highest frequency are: 48, 36, 53, 12, 27, 31, 51, and 52 – that’s for the first selection on the MegaMillions lottery ticket. The most common numbers for the Mega ball are 36, 9,7, 35, and 2. You’re scrambling for a pencil. You can always wait about an hour and we’ll post the audio archives of today’s show at MoneyRadio.com. Of course, even if you pick those numbers, your probability of winning the lottery are beyond astronomical, and the crazy part is that for many people, even with the ridiculous odds, this is their best chance at retirement, or getting out of debt. The estimate is that the jackpot for tomorrow’s drawing is up to about $550 million, so it’s interesting, it’s fun to fantasize. There is some entertainment value. I’m just suggesting that it might be a good idea to have a Plan B. You know, personal discipline, a savings plan, an investment plan, solid information – it’s not that difficult, just keep it tuned to MoneyRadio. It’s not as fast as the lottery, but the odds are much better. While winning the lottery would be sweet, there are some people who seem to have won the legal lottery. They collected get out …

READ MORE →
Uncategorized

March, Wednesday 28, 2012

DOW – 71 = 13,126SPX – 6 = 1405NAS – 15 = 310410 YR YLD + .01 = 2.20% OIL +.13 = 105.54GOLD – 18.50 = 1663.10SILV – .55 = 32.14PLAT – 16.00 = 1640.00 Oil prices fell. The United States, France and Britain are in talks about possibly releasing strategic petroleum reserves. The problem is not a lack of supply. Not now anyway. Maybe tomorrow, maybe next week, maybe this summer; not today. The economy faces multiple risks: the Greeks might vote the technocrats out of office and tell the ECB to go to hell; Spain might default next and it would require a firewall that is bigger than the mother of all firewalls to avoid a cascading default; the Euro-banks hold twice as much toxic waste as their American counterparts, and their American counterparts still have extremely significant exposure to the Euro-trash; Japan’s debt to GDP makes the southern European countries look fiscally conservative – oh yeah the country is radioactive; China might slow down and the slowdown might be worse than expected. And then there are a few problems here in the US: unemployment at 8.3% (or is that inflation?), unemployment around 18% if you count all the invisible people that nobody wants to count, and the banks are still behaving badly and with impunity. I get the feeling that something is going to break. I don’t know what, but something is just going to stop working. Maybe it will be a breakdown in the electric grid, …

READ MORE →